Greece facilitates 68,000 debt restructuring agreements
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The Greek Ministry of Finance reported that 68,000 individuals successfully restructured their debts through an out-of-court mechanism, totaling €20.56 billion.
Throughout August, 1,364 new agreements were reached, bringing the total number of arrangements to 69,997. The government noted that despite a traditional seasonal slowdown in August, the number of successful restructurings remained high. The approval rate for applications consistently remains at 71 percent, a figure the Ministry attributes to the required participation of creditors in the process.
This requirement is intended to increase the reliability and effectiveness of the debt restructuring system. Specifically, 7,855 vulnerable debtors have achieved successful arrangements, including 528 people with disabilities. In addition to debt restructuring, the process has also led to 627 suspensions of foreclosure auctions. Bilateral arrangements with four major financial institutions, Intrum, Cepal, DoValue, and Qquant, resulted in €372 million in successful restructurings for 4,233 debtors.
Starting September 21, the out-of-court mechanism will offer a new tool to protect primary residences. This will allow debtors to save their homes by liquidating secondary assets. The platform now accepts debts starting from €5,000, offering up to 240 installments for public debt and up to 420 for bank loans.
